South Africa’s housing market has closed 2025 with renewed momentum, driven primarily by improved affordability rather than the semigration trends that dominated previous years, according to the latest quarterly report from REMAX Southern Africa.
The national average house price increased by 4.2% year-on-year in the fourth quarter of 2025, based on performance within the REMAX SA network. This recovery follows five interest rate cuts implemented throughout 2025, which appear to have bolstered buyer confidence and purchasing power.
While the Western Cape continued to record strong price growth of 15.5% year-on-year, buyer demand has spread more evenly across regions. Gauteng recorded a 4.4% year-on-year adjustment within the REMAX network, marking a notable turnaround from the price decline recorded in the previous quarter.
Adrian Goslett, CEO and regional director of REMAX Southern Africa, said the recovery appears to be driven less by semigration trends and more by financially conscious decision-making.
Data from Lightstone supports this assessment, showing that 83% of homeowners who sold and purchased property again remained in the same province, excluding first-time buyers. Of these, 63% remained within the same municipality.
The Western Cape remains the only province to have recorded a net gain in migration above the R500 000 price band over the past five years. However, recent trends suggest that inflows into the province have moderated compared to prior years.
Goslett noted that shifting workplace dynamics, including return-to-office mandates, and rising property prices in the Western Cape have contributed to the moderation of semigration.
Property market activity in the fourth quarter of 2025 followed typical seasonal patterns, with heightened urgency among buyers and sellers. REMAX listings that were published and sold within the quarter achieved an average turnaround time of just 14 days, as purchasers accelerated decisions to secure homes before the holiday period.
Online search behaviour on remax.co.za reflected broad-based interest across regions. The top five searched suburbs were Parklands in the Western Cape, followed by Bryanston, Protea Glen and Morningside in Gauteng, and Westville in KwaZulu-Natal.
The strong representation of Gauteng suburbs alongside Western Cape and KwaZulu-Natal locations indicates that demand remains widely distributed rather than concentrated in a single semigration destination.
Goslett said buyers appear to be making strategic decisions based on affordability, value and long-term sustainability as the market moves into 2026.
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